Temple, TX asked in Business Law and Civil Litigation for Texas

Q: I am planning on purchasing assets of a spa that is being sued for a massage therapist not having a valid license.

The MT was accused of inappropriately touching a customer. The MT, the LLC, and owner are all being sued due to the accusations and not having a valid license while working (it had expired but he put in the paperwork for a new license prior to this happening, it just wasn’t approved yet.) Can me, as the purchaser, get away with purchasing the assets without this affecting me?

1 Lawyer Answer
John Michael Frick
John Michael Frick
  • Frisco, TX
  • Licensed in Texas

A: If your asset purchase is handled properly, you as the buyer will have no liability from the lawsuit as described.

Obviously, anyone purchasing a business will have an attorney knowledgeable about such transactions preparing and reviewing the paperwork associated with the purchase.

You should disclose the lawsuit to your attorney so he can research it and ensure your asset purchase agreement properly protects you from such claim.

1 user found this answer helpful

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